Dell Committed Consumer Fraud, N.Y. Judge Rules

[OhioChick]

Source: Information Week

Customers lured into no-interest or no-payment financing were denied and offered high-interest loans that often exceeded 20% instead.

May 27, 2008 06:38 PM


A New York state judge on Tuesday found that Dell (Dell) offered consumers no-interest financing for computers as part of an illegal scheme to lure them into high-interest loans.

State Supreme Court Justice Joseph C. Teresi decided that Dell and Dell Financial Services engaged in fraud, false advertising, deceptive business practices, and abusive debt collection practices, said the N.Y. State Attorney General's Office, which filed the lawsuit in May 2007. DFS is a joint venture between Dell and CIT Bank.

In his ruling, Teresi barred Dell and DFS from engaging in illegal business practices cited in the suit. The court will hold further hearings to determine restitution to consumers and the amount of profits Dell unlawfully earned that will be forfeited to the state.

N.Y. Attorney General Andrew M. Cuomo said that Dell's and DFS' actions were "a bait and switch that left thousands of people paying for essentially no service at all."





Read more: http://www.informationweek.com/news/hardware/desktop/showArticle.jhtml?articleID=208400410

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Dude, You're Getting Screwed...

[marmar]

1. Dude, I'm glad I never got a Dell....

:hide:

[Deja Q]

2. Dude, I'm gettin' a bankruptcy!

:party:

[hobbit709]

3. They tried that with a friend of mine

He told them to take it back-Dell backed down.

[DS1]

4. I'm torn on this one

I've applied for their credit system in the past, and have not qualified for their zero interest package, and closed that web window when I found that out. That's why they have that entire process of figuring out your credit rating via your SSN, and either granting you the credit or not.

On one hand, fine, protect the occasional dumbshit consumer from being a dumbshit, on the other hand punish the corporations for allowing dumbshits to click right through and sign up for stuff they haven't bothered to understand.

The fine print is always there. Read it.

[hobbit709]

8. My friend has AAA credit

They told him it was 0% on his. Imagine his surprise when he got his first statement and they charged him 19%. He had his printout from the sign up deal and called them. They tried Standard Answer 35B on him and he told them they could take it back. When they tried to argue the point he told them to either cancel the order and take it back, give him the original agreed upon terms, or the next communication Dell would get would be from his attorney. They folded at that point.

[onehandle]

5. Michael Dell is such an asshole.

His unoriginal, ripoff company will crash and burn and we will all be better off.

[muntrv]

6. I believe Michael Dell is a big time Chimpy supporter. That would be one

reason to buy Apple. Steve Jobs is a Dem.

[rpannier]

10. I won't buy apple

Jobs may be a Dem, but he's a rather anti-union Dem.
He gave a speech almost a year ago in Texas where he bashed teacher's unions as the cause for the troubles in American education.

I live overseas, but buy my laptop computers in the states.
I buy Gateway because they are fairly progessive.

I don't teach.
I don't buy stuff from Union-bashers.

[Catch22Dem]

11. Jobs pours TONS of money into dem candidates though

So while he may talk an anti-union line, no other computer company gives as much money to the OVERALL cause than Apple. I'll stick with Apple.

[OhioChick]

12. Jobs is no better than Dell....

Apple to outsource tech support to India

The India Times reported today that Apple is planning to set up a massive tech support center in Bangalore, India its first tech support center outside of Cupertino. The article says that Apple will hire 3,000 tech support workers in India by 2007, with up to half of those to be hired this year. Property developer RMZ Corp is allegedly creating a 1.5 lakh sq ft facility for Apple in the first phase, and 1.5 lakh sq ft in the second phase. (Anybody know how big a lakh square foot is?)

The buzz generated by this announcement includes concerns about tech support quality. Even the most politically correct among us would admit that deep down we don't relish the thought of stumbling through another tech support call to an overseas center, negotiating barriers of language and accent while trying to unravel computer problems. The effect of overseas outsourcing on local tech support workers is another concern. What will happen to Apple's support center in Cupertino?

http://www.tuaw.com/2006/03/09/apple-to-outsource-tech-support-to-india/

Will Apple Outsourcing to India Equal Lost Jobs and Frustrated Customers in America?

Apple Computer Inc. announced its decision to set up its first massive technical support center in India. It will open as early as May 2006. Apple has officially jumped into the ranks, with Dell and other global technology companies, of those who outsource outside America. Apple fans and employees, in the United States, have been posting their concerns over the potential loss of employment and the quality of technical support that Indian employees can provide.

According to a post at Times News Network by Sujit John, a Karnataka state government official in Bangalore, the site location for the facility, said, “the government had cleared Apple’s proposal to invest in Bangalore. But they are yet to reveal the extent of investment or the total employment. They should be starting operations within the next two months.”

Apple could hire as many as 1,500 employees by the end of this year, and then double that to 3,000 by the end of 2007. Bangalore was chosen after an evaluation of seven Indian cities, and property developer RMZ Corp will create the facility. Sources think that Apple’s decision is predicated upon its record fiscal performance in 2005, in which a growth of 68 percent raised the company’s worth to $14 billion dollars. The future of Cupertino’s Apple employees is uncertain; outsourcing to India will save money, but how far Apple will cut back stateside with its tech-support team is a hot topic for speculation.

Apple fans began immediately posting their comments early Thursday morning when the news was released. At the MacWorld.com forum, user “Uchuugaka” posted:“No. No. NO… this is terrible news. When tech-support centers are far afield from real management centers of companies, you get nothing usually…Apple has had outstanding support and service for years…Why would they blow this?? Even here in Tokyo, I can speak to someone from Apple on the phone.” “Uchuugaka” continues his lament with the soothing thought that at least there are Apple stores that give great service in person.

http://www.applematters.com/article/will_apple_outsourcing_to_india_equal_lost_jobs_and_frustrated_customers_in/

Apple's Bangalore Plans Fuel IT Outsourcing Debate

Apple is following the lead of many other PC and electronics firms that have set up call centers in India. The "commoditization" of computer industry jobs is a reality that all workers must acknowledge, George Black, president and CEO of RSA, a Houston-based IT management firm, told MacNewsWorld.

http://www.ectnews.com/story/49437.html


Just a few articles I came across in the past.

[onehandle]

14. Incorrect. India: Why Apple Walked Away

Apple CEO Steve Jobs has long had a thing for India. After work- ing at game developer Atari (ATAR ) in the mid-'70s, Jobs took a break and backpacked around the subcontinent in search of spiritual enlightenment. Upon his return to the U.S., his more capitalistic instincts took over, and he and Steve Wozniak launched Apple. Today, of course, the seeker-turned- billionaire enjoys a reputation as one of the most successful entrepreneurs and savviest marketing minds on the planet.

Yet he is also a tough-minded executive who knows when to cut and run. That's why Apple Computer Inc. has shelved plans to build a sprawling technical support center in Bangalore, even as IBM (IBM ) and other tech powers are ramping up. Just three months back, Apple appeared to be on the same trajectory, and there was talk of the company hiring 3,000 workers by 2007 to handle support for Macintosh computers and other Apple gear. Many in India even speculated that Jobs might travel there this year to publicize Apple's commitment to the country.

http://www.businessweek.com/magazine/content/06_25/b3989058.htm

[OhioChick]

16. Just because Jobs donates to Dems makes him no angel....

Steve Jobs, Proud to Be Nonunion

Steve Jobs makes a lot of sense when he's talking about music and copyright protection, but when the topic is schools, he seems to be on a different planet.

The teachers' unions, Jobs believes, are ruining America's schools because they prevent bad teachers from being fired.

"I believe that what is wrong with our schools in this nation is that they have become unionized in the worst possible way," the Apple CEO told a school-reform conference in Texas on Saturday. "This unionization and lifetime employment of K-12 teachers is off-the-charts crazy."

Jobs knows a lot about schools; he's been selling computers to them for more than 30 years. But don't you love it when a billionaire who sends his own kids to private school applies half-baked business platitudes to complex problems like schools? I'm surprised Jobs didn't suggest we outsource education to the same nonunion Chinese factories that build his iPods.

http://www.wired.com/techbiz/people/news/2007/02/72754

Employees offer mixed reactions to Apple corporate life

"There is a definite lack of emphasis on customers," said the employee, who holds a senior management position. The employee wrote that there is "a significant fear factor perpetuated of the CEO" by "empire building dinosaurs who operate in antiquated modes and only promote their favorites." The same employee said it's a company policy "not to take notes in meetings," which can make it "quite daunting" to try to operate under such "impossible circumstances."

Meanwhile, a product manager stationed at Apple's home-base in Cupertino sums up Apple as the average conservative company, which works its employees "to the bone" without enough compensation. "When I started it felt like Apple knew my name and what I did," the employee wrote, "but now am nothing more than employee XXX."

http://www.appleinsider.com/articles/05/03/30/employees_offer_mixed_reactions_to_apple_corporate_life.html

iPod maker admits breaking Chinese labor laws; says Apple approved sweatshop labor

"Apple Computer is getting into a deep PR mess over the antics of one of its its Chinese partners," Nick Farrell reports for The Inquirer.

"After denying that it was running a sweatshop that would be familiar to Charles Dickens, Apple's Ipod manufacturer, Foxconn has finally admitted that it broken Chinese labour laws," Farrell reports.

"Apparently it was forcing its employees to work about 80 extra hours each month," Farrell reports. "Chinese workers can be forced to work up to 36 hours extra a month... but Foxconn's 80 hours is well over this maximum... Foxconn's PR then made life worse for Apple by saying that a team from the Cupertino based outfit had investigated its operations and given it the thumbs up."

http://macdailynews.com/index.php/weblog/comments/9988

Foxconn to manufacture Apple's iPhone - report

Foxconn Electronics, the registered trade name of Hon Hai Precision Industry Co Ltd, has secured a contract with Apple Computer to manufacturer its first mobile handset that will also dual as a digital music player, according to an overseas report.


The Chinese-language Commercial Times on Wednesday cited Taiwan-based sources within Apple's iPod component supply chain as saying the phone is due to arrive during the first half of next year.

The paper offered no other details of the phone or contract between the two companies, other than to say the initial build order was for some 12 million units.

According to the same report, Foxconn has also assumed the role of Apple's third notebook manufacturer and will soon begin churning out 15-inch MacBook Pros for delivery by January.

Asustek, which manufacturers Apple's 13-inch MacBooks, will not be affected by the Foxconn win, the report states. It's unclear if the deal will place any burden on Quanta Computer, that Taiwan-based firm that up until now has been Apple's sole supply of 15- and 17-inch MacBook Pro systems.

http://www.appleinsider.com/articles/06/11/15/foxconn_to_manufacture_apples_iphone___report.html

Apple admits excessive iPod hours

Apple Computer has said a report of labour conditions at its iPod plant in China found workers did more than 60 hours a week a third of the time.

Staff making the world's most popular MP3 player also worked more than six consecutive days 25% of the time.

Apple said the hours were "excessive" and said its supplier would now be enforcing a "normal" 60-hour week.

http://news.bbc.co.uk/2/hi/technology/5262110.stm

[hobbit709]

9. He was an asshole before he got started

Now he's an asshole with tons of money-that just makes it worse.

[gauguin57]

7. Ugh. I'm computer shopping, but wouldn't get a Dell if they HANDED me one. MAJOR Repug contributor.

I won't get a Dell for that reason ALONE.

BuyBlue.org is currently offline, but it seems to me that HP and Gateway were also relatively progressive-leaning companies (gave more money to Dems than Repugs, I think).

[skoalyman]

13. my first two pc's were gateways the only complaint was the first pc

the hard drive kept going out that was western digital's faulty hard drives they were passing as good.The second pc was great no problems at all.I learned to build my own after that you couldn't give me a pallet load of dells :puke:

[gauguin57]

15. my computers have been gateways, too ... they lasted a long time and served me well.

did have a few problems, which required numerous re-installs of the operating system. decent tech support when i called them.

[indepat]

17. In another Dell matter, my promised $100 rebate was never received so Dell has lost my business in

perpetuity. :grr: :mad:

[OhioChick]

18. Call the Bastards.

I wouldn't let it go....